Top Reasons Why You Should Automate Accounts Payable
Even though tech makes Accounts Payable payment automation simple for many organizations, 60 % of organizations in the US are not aware of the countless advantages to A/P automation. Leveraging software to utilize the method in manner that is seamless and convenient, listed here are our major five reasons to automate.
Accounts Payable automation allows A/P to correctly project its pending cash requirements, consequently eliminating uncertainty. With more transparency from A/P automation, visibility into the system allows your A/P department to give attention to activities and priorities that can impact your department with value add actions.
Enhance internal controls
A manual A/P method is prone to fraud. You raise the issues of human error, overdue payments, missing invoices, along with the dreaded rush invoices. An automated A/P process embeds controls that avoid and deter fraudulent activity.
Capitalize on Visibility
The obsolete manual process is affected with insufficient awareness, wherein can result in neglecting to recognize a portion of risks. This may understate operating expenses as well as overstate revenue, which can contribute to accounting and reporting malfunctions and ultimately fraudulent activity. A/P automation produces check here a complete audit trail of every step in the method, and allows management to rapidly deal with possible difficulties.
Your vendors would like a more effective payment method. Easier payments result in special offers and savings for you. When you pay your customers via virtual credit card, which is a single issued card for a one-time use, you receive monthly cash back incentives. It’s equally good for Accounts Payable and Accounts Receivable. Your clients benefit from more efficient, streamlined payments and your A/P Department pivots to a income generator.
Prevent error, delay, and unnecessary costs with an automated A/P process. A/P errors are expensive and use up many resources to manually clear up. With payment automation, you see where, when and why errors took place. In contrast to the manual method, with automation you’ll be in a position to methodically address and get rid of errors to improve quality.
A/P payment automation will save you cash, earn you additional earnings, reduce the risks of fraudulent activity, get your operations greater transparency, satisfy your customers’ needs, and enhance the overall quality of your A/P processes.